Search found 2816 matches

Return to advanced search

Re: Understanding rollover IRA

Can you roll your rollover back to your current retirement plan at work?
by kaneohe
Mon Jan 26, 2015 3:14 pm
 
Forum: Investing - Help with Personal Investments
Topic: Understanding rollover IRA
Replies: 9
Views: 390

Re: Estimated Taxes for Roth Conversion

Sounds right to me.....of course w/ 90% of current yr safe harbor , there is alway some uncertainty whereas w/ 100% (prob. 110% for you) of previous yr safe harbor, there is none..........but you might not want to pay that 10% (or more) extra if you are confident in your other safe harbor.
by kaneohe
Mon Jan 26, 2015 11:57 am
 
Forum: Investing - Help with Personal Investments
Topic: Estimated Taxes for Roth Conversion
Replies: 4
Views: 550

Re: Withdrawing Backdoor Conversions from Roth IRA

It was a conversion in 2010 that was taxed in 2011 and 2012 (due to the 2010 conversion allowing the one time split taxes). penalty 5 yrs for withholding pertinent details :happy (forgot about that split yr thing) We'll have to let AlanS. bail us out here.........if I had to guess, That's still a 2...
by kaneohe
Sun Jan 25, 2015 11:25 pm
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: Withdrawing Backdoor Conversions from Roth IRA

"Sound about right?" I've never done this myself but everything I reads suggests not overestimating how fast those last 2 steps can take. You might want to consider moving those timelines earlier so you don't get a heart attack waiting for things to happen.
by kaneohe
Sun Jan 25, 2015 10:06 pm
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: Roth to Traditional and then backdoor to Roth

That's a bit surprising......if you were and are truly entering non-deductible TIRAs in both cases, there should have been no net effect.
Are you showing the right amount of basis on the 8606? and what's the taxable IRA amount on line 15b?
by kaneohe
Sun Jan 25, 2015 9:54 pm
 
Forum: Personal Finance (Not Investing)
Topic: Roth to Traditional and then backdoor to Roth
Replies: 9
Views: 767

Re: Long term cap gains tax rate for 15% bracket

The regular tax rate would be be 10% or 15% for taxable income up to the line separating the 15% and 25% brackets. Your capital gains rate( if your taxable income is lower than that line) is 0%. Your regular tax rate for ordinary income is up to 15%. The different rates are for different kinds of i...
by kaneohe
Sun Jan 25, 2015 8:38 pm
 
Forum: Investing - Help with Personal Investments
Topic: Long term cap gains tax rate for 15% bracket
Replies: 13
Views: 1121

Re: MediCare and ? What are your out of pocket costs please.

So I gather the Medicare and the supplemental insurance premiums are manageable, but out of pocket can really escalate with poorer health and the need for more meds, MD appts and services? It's the unknown surprises I want to be prepared for, at least financially! If you can't sleep because of this...
by kaneohe
Sun Jan 25, 2015 7:18 pm
 
Forum: Personal Finance (Not Investing)
Topic: MediCare and ? What are your out of pocket costs please.
Replies: 16
Views: 1485

Re: Some RMD Questions

bertilak wrote:Yup, I think we are all on the same page, with me the last to join.


doubt you'll be the last :happy
by kaneohe
Sun Jan 25, 2015 6:09 pm
 
Forum: Investing - Help with Personal Investments
Topic: Some RMD Questions
Replies: 21
Views: 1010

Re: Roth to Traditional and then backdoor to Roth

We must be doing something wrong. We tried working through the Forms 8606 online through TurboTax, but we get an error message telling us that we made excess contributions to the TIRA accounts and will owe a 6% penalty. Any ideas on what we might be doing wrong? Thanks, ~Backdoor Confusion perhaps ...
by kaneohe
Sun Jan 25, 2015 6:03 pm
 
Forum: Personal Finance (Not Investing)
Topic: Roth to Traditional and then backdoor to Roth
Replies: 9
Views: 767

Re: Some RMD Questions

Born 11/23/1945. Questions... [list=1] [*]I MUST take RMDs starting 2017, right? That is the year AFTER I turn 70.5. (70 in late 2015 so 70.5 in 2016.) [*]Is it better to start in 2016 so as not to "double dip" in 2017, pushing me up a tax bracket and/or increasing taxes on SS? If I DON'T...
by kaneohe
Sun Jan 25, 2015 5:57 pm
 
Forum: Investing - Help with Personal Investments
Topic: Some RMD Questions
Replies: 21
Views: 1010

Re: Long term cap gains tax rate for 15% bracket

Would you kindly share w/ us which words in Ch. 16 you consider misleading? Table 16-1. It says: IF your net capital gain is from ... other gain1 and the regular tax rate that would apply is 10% or 15%, THEN your maximum capital gain rate is ... 0%. But it is not 0%. Some of it may be 0%, but some ...
by kaneohe
Sun Jan 25, 2015 5:41 pm
 
Forum: Investing - Help with Personal Investments
Topic: Long term cap gains tax rate for 15% bracket
Replies: 13
Views: 1121

Re: Long term cap gains tax rate for 15% bracket

Would you kindly share w/ us which words in Ch. 16 you consider misleading? The QDIV/LTCG worksheet considers your taxable income (including the QDIV/LTCG) as defining your tax bracket for the purposes of determining your tax rate on those QDIV/LTCG. If you assume something else as is not uncommon,t...
by kaneohe
Sun Jan 25, 2015 5:22 pm
 
Forum: Investing - Help with Personal Investments
Topic: Long term cap gains tax rate for 15% bracket
Replies: 13
Views: 1121

Re: Roth to Traditional and then backdoor to Roth

You aren't being taxed twice. Basically you made a 2013 non-deductible TIRA contribution. Then you converted it in2014. You then made a 2014 non-deductible TIRA contribution and converted that in 2014. Your 2013 8606 should show basis for the first contribution. Your 2014 8606 should add the basis o...
by kaneohe
Sun Jan 25, 2015 3:20 pm
 
Forum: Personal Finance (Not Investing)
Topic: Roth to Traditional and then backdoor to Roth
Replies: 9
Views: 767

Re: $1 and $2 foreign tax paid - file? refundable credit?

http://www.irs.gov/taxtopics/tc856.html "If you claim the credit directly on Form 1040 or Form 1040-NR without filing Form 1116, you cannot carry back or carry forward any unused foreign tax to or from this year." ***************************************************************************...
by kaneohe
Sun Jan 25, 2015 2:25 pm
 
Forum: Personal Finance (Not Investing)
Topic: $1 and $2 foreign tax paid - file? refundable credit?
Replies: 6
Views: 566

Re: Withdrawing Backdoor Conversions from Roth IRA

It was a conversion in 2010 that was taxed in 2011 and 2012 (due to the 2010 conversion allowing the one time split taxes). penalty 5 yrs for withholding pertinent details :happy (forgot about that split yr thing) We'll have to let AlanS. bail us out here.........if I had to guess, That's still a 2...
by kaneohe
Sun Jan 25, 2015 2:04 pm
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: Withdrawing Backdoor Conversions from Roth IRA

What happens if you made a total of $15,000 in contributions from 2000-2008, made a conversion of $100,600 in 2010, and then in 2015 withdrew $100,000 while under age 59.5? How do you calculate what gains are from the $100k v. the $15k, and because you made contributions and the 5-year conversion r...
by kaneohe
Sun Jan 25, 2015 1:47 pm
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: Preparing for RMDs

If all the conditions are met then you may be able to claim your parents as dependents on your taxes and in addition to getting the extra exemption you might be able to deduct their medical expenses that you pay. That would be worth researching and planning for that possibility since you might need...
by kaneohe
Sun Jan 25, 2015 12:22 pm
 
Forum: Investing - Help with Personal Investments
Topic: Preparing for RMDs
Replies: 42
Views: 2715

Re: $1 and $2 foreign tax paid - file? refundable credit?

I just read a TT article that the credits listed in the "Taxes & Credits" section of the 1040 pg2 (upper section) are non-refundable credits so don't bother.
You can only use them against tax liabilities so if there are none.............
by kaneohe
Sun Jan 25, 2015 12:11 pm
 
Forum: Personal Finance (Not Investing)
Topic: $1 and $2 foreign tax paid - file? refundable credit?
Replies: 6
Views: 566

Re: Withdrawing Backdoor Money from Roth IRA

......................................... Ibtw ....have you read this http://fairmark.com/retirement/roth-accounts/roth-conversions/isolating-basis-for-roth-conversion/ Sounds like for the mega, you can send the non-taxable part to the Roth and the taxable part to TIRA and not pay taxes. The plot a...
by kaneohe
Sun Jan 25, 2015 9:45 am
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: HSA... any receipt savers?

I think it is directly applicable to the scenario I proposed. If i leave my $20K in my account, then it is mathematically equivalent to either the Roth column and/or the Nondeductible IRA column. If i take my $20K out, then it is equivalent to the Taxable column. Why the Nondeductible IRA? That sug...
by kaneohe
Sat Jan 24, 2015 9:29 pm
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: HSA... any receipt savers?

To give a little Quantitative analysis to this see. http://www.bogleheads.org/wiki/Non-deductible_traditional_IRA#What_kind_of_investments_are_well_suited_to_a_non-deductible_traditional_IRA.3F That is a good spreadsheet, but doesn't directly apply to our situation here. I think it is directly appl...
by kaneohe
Sat Jan 24, 2015 6:40 pm
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: HSA... any receipt savers?

To give a little Quantitative analysis to this see. http://www.bogleheads.org/wiki/Non-deductible_traditional_IRA#What_kind_of_investments_are_well_suited_to_a_non-deductible_traditional_IRA.3F That is a good spreadsheet, but doesn't directly apply to our situation here. I think it is directly appl...
by kaneohe
Sat Jan 24, 2015 6:20 pm
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: Roth IRA phase out calculator

https://www.google.com/?gws_rd=ssl#q=roth+phaseout+calculator+2014

a few here......perhaps you should input the limits for the yr you are interested in and be sure you get 100% and 0% to be sure
at least those points are correct. Perhaps some you used have another yrs limits?
by kaneohe
Sat Jan 24, 2015 1:26 pm
 
Forum: Personal Finance (Not Investing)
Topic: Roth IRA phase out calculator
Replies: 7
Views: 647

Re: Withdrawing Backdoor Money from Roth IRA

The 10% penalty is an early withdrawal penalty and never applies to the non taxable portion of any distribution. This holds true for withdrawal of conversions under 5 years. Thank you Alan S. Let me apply the ordering rules to two hypothetical situations to confirm that I correctly understand how t...
by kaneohe
Sat Jan 24, 2015 2:39 am
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: Should I sell tax inefficient mutual funds?

If you aren't doing it yet, at least turn off reinvesting the distributions and making things worse. The other part is harder.........deciding whether to sell since that usually, as you point out, involves paying more taxes on the gains. You'd have to make some calculations if selling, then starting...
by kaneohe
Fri Jan 23, 2015 8:49 am
 
Forum: Investing - Help with Personal Investments
Topic: Should I sell tax inefficient mutual funds?
Replies: 22
Views: 1446

Re: HSA... any receipt savers?

regarding the analysis on the benefit of deferring withdrawals. I have a simpler scenario: say I have $20K of receipts now (and a balance greater than that). My two alternatives are (1) leave it in HSA or (2) take it out. This should be easier to analyze the benefit. So then it is a question of is ...
by kaneohe
Thu Jan 22, 2015 8:37 pm
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: LT capital gains in taxable vs retirement account

I should also mention that my MAGI disqualifies me from any tax benefit of contributing to a 403b (i.e. even contributing the maximum amount of $18,000 will not move me into a lower tax bracket). Thank you for any guidance. Contributing the max may not move you into a lower bracket but you do benef...
by kaneohe
Thu Jan 22, 2015 5:52 pm
 
Forum: Investing - Help with Personal Investments
Topic: LT capital gains in taxable vs retirement account
Replies: 8
Views: 577

Re: when did Backdoor Roth first become available?

perhpaps 2010 ? There used to be a income cap limiting Roth conversions that was removed then. http://www.schwab.com/public/schwab/nn/articles/Roth-IRA-Conversion-Look-Before-You-Leap perhaps 2014 for MegaRoth http://fairmark.com/retirement/roth-accounts/roth-conversions/isolating-basis-for-roth-con...
by kaneohe
Thu Jan 22, 2015 5:28 pm
 
Forum: Investing - Theory, News & General
Topic: when did Backdoor Roth first become available?
Replies: 6
Views: 987

Re: Help on Converting Traditional IRA into Roth IRA

You don't happen to have any other TIRAs lurking around by any chance?????
by kaneohe
Thu Jan 22, 2015 4:25 pm
 
Forum: Investing - Help with Personal Investments
Topic: Help on Converting Traditional IRA into Roth IRA
Replies: 10
Views: 428

Re: AMT............Total Tax Same w/ Std. Deduction/Itemize

Then why are you paying AMT? Take a look at your Form 6251 and see which other deductions you are losing, and to make sure that your tax software filled out the forms correctly. CA state taxes are high, but it's rare for state taxes alone to cause you to pay AMT, unless you paid an unusually large ...
by kaneohe
Thu Jan 22, 2015 11:55 am
 
Forum: Personal Finance (Not Investing)
Topic: AMT............Total Tax Same w/ Std. Deduction/Itemize
Replies: 10
Views: 960

Re: HSA... any receipt savers?

We were only able to participate in contributing to an HSA for a few years, due to starting date limited by when employer started providing this option. At this point (retired and no longer contributing to our HSA but with a current balance of <$10k), our plan is to keep the HSA $$ in a Vanguard fu...
by kaneohe
Thu Jan 22, 2015 11:20 am
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: HSA... any receipt savers?

From Pub 969 http://www.irs.gov/pub/irs-pdf/p969.pdf ... "The medical expenses had not been taken as an itemized deduction in any year."... If I intend to keep receipts for longer than 7 years (and I do), I should probably keep tax records too ... :/ Medical expenses can only be deducted ...
by kaneohe
Thu Jan 22, 2015 11:08 am
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: HSA... any receipt savers?

According to my CPA, you cannot itemize medical expenses if you have HSA funds available. Doesn't sound quite right, but it's not important to me. L. IRS typically frowns on double-dipping. You cannot use the same expenses to itemize medical expenses and justify HSA reimbursements. You can itemize ...
by kaneohe
Thu Jan 22, 2015 10:49 am
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: IRA to Roth Conversion + Tax Implications

You can opt out of withholding from TIRA so the whole amount goes to conversion and no early withdrawal penalty will result.
You may have to increase withholding on salary or other income streams or pay estimated taxes from taxable accounts to prevent
underpayment penalties at tax time.
by kaneohe
Thu Jan 22, 2015 10:12 am
 
Forum: Investing - Help with Personal Investments
Topic: IRA to Roth Conversion + Tax Implications
Replies: 7
Views: 654

Re: HSA... any receipt savers?

Assume a hypothetical and this hypothetical is very representative of my current situation. I max out my HSA and will never need it. I have inferred that I do not need to ever save tax receipts; I could either 1) use the money for some unforeseen expenses medical when elderly and be able to withdra...
by kaneohe
Thu Jan 22, 2015 9:38 am
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: HSA... any receipt savers?

I'm sure I overlooked something, but isn't the difference minimal whether one pays with the HSA now or later? Let's say you contribute the max now for 20 years at 7% interest and have medical expenses of $1,000 a year. - Contribute/Pay out of pocket $3,350 for 20 years at 7% return grows to = $146,...
by kaneohe
Thu Jan 22, 2015 9:30 am
 
Forum: Investing - Help with Personal Investments
Topic: HSA... any receipt savers?
Replies: 147
Views: 5782

Re: AMT............Total Tax Same w/ Std. Deduction/Itemize

David.............both Taxcaster and the HR Block tax calculators seem to come up with the same result. I'm not sure why the AMT............ best guess is because there is a large component of QDIV/CG this year, that along w/ the other income and RMDs from both of us reduces the AMT exemption enough...
by kaneohe
Wed Jan 21, 2015 9:06 pm
 
Forum: Personal Finance (Not Investing)
Topic: AMT............Total Tax Same w/ Std. Deduction/Itemize
Replies: 10
Views: 960

Re: AMT............Total Tax Same w/ Std. Deduction/Itemize

Thanks, grabiner and Bill M , for your suggestions/comments. I think my state (CA) does not have requirements for have state deduction conform w/ federal (std vs itemized). No ISO so I don't think I have timing attributes to AMT. Took QCDs this year in lieu of charitable contributions so I don't hav...
by kaneohe
Wed Jan 21, 2015 6:26 pm
 
Forum: Personal Finance (Not Investing)
Topic: AMT............Total Tax Same w/ Std. Deduction/Itemize
Replies: 10
Views: 960

Re: Withdrawing Backdoor Money from Roth IRA

conversions occur through the mini- and mega-backdoor Roth IRA funding approaches (I use the term "mini-backdoor" to refer to the process whereby a person (whose income exceeds the AGI limits set forth above) funds a Traditional IRA and then immediately converts these funds into a Roth IR...
by kaneohe
Wed Jan 21, 2015 11:56 am
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: Medicare Newbie

The Wizard wrote:I'm in process of signing up as well.
I'm taking Medicare parts A & B together with a Medicare supplement plan.
One good thing about the supplement plan is that it covers me on foreign travel...


how about pt D for Rx?
by kaneohe
Wed Jan 21, 2015 9:31 am
 
Forum: Personal Finance (Not Investing)
Topic: Medicare Newbie
Replies: 14
Views: 986

Re: Medicare Newbie

One possible way to get in the door and delay a final decision is to sign up for Medicare A & B and then get a pt D Rx plan and a Medicare Supplement Plan F, the most comprehensive and expensive of the Medigap plans. Once you are in, you can take your time deciding if you are comfortable with th...
by kaneohe
Wed Jan 21, 2015 9:30 am
 
Forum: Personal Finance (Not Investing)
Topic: Medicare Newbie
Replies: 14
Views: 986

Re: Withdrawing Backdoor Money from Roth IRA

see if the table here helps http://fairmark.com/forum/read.php?2,63970 kawill developed it to provide a decision table requiring (almost) no thinking. You need to know the ordering rules which you apparently do. All of this can be confusing because withdrawals can be non-qualified and (possibly) sub...
by kaneohe
Wed Jan 21, 2015 8:55 am
 
Forum: Investing - Theory, News & General
Topic: Withdrawing Backdoor Conversions from Roth IRA
Replies: 30
Views: 1979

Re: backdoor roth when under AGI limit

If you are able to contribute directly to a Roth IRA (not through the backdoor) contributions can be withdrawn at any time without a penalty. If you use a backdoor Roth IRA there is a penalty if you withdraw contributions prior to five years unless you are over age 59-1/2. See the section on Distri...
by kaneohe
Tue Jan 20, 2015 11:33 pm
 
Forum: Investing - Help with Personal Investments
Topic: backdoor roth when under AGI limit
Replies: 16
Views: 1177

Re: AMT............Total Tax Same w/ Std. Deduction/Itemize

Beth..........thanks......you made me realize how poorly worded my OP was. Start over..........if I calculate my normal tax using the std deduction, I get a normal tax and AMT = Total tax #1. If I calculate my normal tax by itemizing (in this case only state taxes which exceed the std deduction, I g...
by kaneohe
Tue Jan 20, 2015 10:36 pm
 
Forum: Personal Finance (Not Investing)
Topic: AMT............Total Tax Same w/ Std. Deduction/Itemize
Replies: 10
Views: 960

AMT............Total Tax Same w/ Std. Deduction/Itemize

Under some conditions of AMT, the total tax is the same when using the standard deduction or itemizing (state taxes only). Does whether you use the standard deduction or the itemized (state taxes only) affect anything else so that it could be advantageous to use one over the other...........e.g. FTC...
by kaneohe
Tue Jan 20, 2015 9:11 pm
 
Forum: Personal Finance (Not Investing)
Topic: AMT............Total Tax Same w/ Std. Deduction/Itemize
Replies: 10
Views: 960

Re: Better to file taxes separately if married?

iceman provided the key ideas above re: tax brackets & ranges. It is possible that w/ both spouses working today making the same 250K that there is no difference since you've saturated all the lower brackets and the ranges for MFS are 50% of the MFJ ranges. However, when one retires, the higher ...
by kaneohe
Tue Jan 20, 2015 9:03 pm
 
Forum: Investing - Help with Personal Investments
Topic: Better to file taxes separately if married?
Replies: 20
Views: 1560

Re: RMD withdrawals.

On the theory that stocks go up more often than down, I take my RMDs early in the year. I just sold a mutual fund in my IRA and immediately bought the same fund in my taxable account with the same fund company. Why would the fact that stock go up more than down cause you to do it early in the year?...
by kaneohe
Tue Jan 20, 2015 2:17 pm
 
Forum: Personal Finance (Not Investing)
Topic: RMD withdrawals.
Replies: 38
Views: 2558

Re: backdoor roth when under AGI limit

He said go ahead and fund the traditional and then covert to Roth, and it wouldn't matter if I was under or over the MAGI limit for 2015. If you find you are under the MAGI limit, consider a recharacterization to Roth instead of a conversion. If you convert, you will pay taxes on the gains. If you ...
by kaneohe
Tue Jan 20, 2015 12:34 pm
 
Forum: Investing - Help with Personal Investments
Topic: backdoor roth when under AGI limit
Replies: 16
Views: 1177

Re: First backdoor Roth. Very simple question...I think

There is a limit on annual contributions. There is no limit on conversions so there should not be any penalties.
by kaneohe
Tue Jan 20, 2015 12:21 pm
 
Forum: Investing - Help with Personal Investments
Topic: First backdoor Roth. Very simple question...I think
Replies: 5
Views: 358

Re: backdoor roth when under AGI limit

If you want to contribute early to (hopefully) get a yrs growth in, consider contributing to a Roth early in the year (e.g. Jan 2014......too late this time). Then in early 2015 once you have your info in, if you are under the limit, you are in. If you are over the limit, you can recharacterize to a...
by kaneohe
Mon Jan 19, 2015 9:44 pm
 
Forum: Investing - Help with Personal Investments
Topic: backdoor roth when under AGI limit
Replies: 16
Views: 1177
Next

Return to advanced search